Sweden’s reform began with a published sketch in 1992 and developed into nonfinancial defined contribution (NDC) legislation in 1994. This paper discusses the underpinnings of the Swedish NDC scheme’s financial stability, factors influencing the adequacy of benefits, and its interplay with other components of the pension system: the public financial defined contribution scheme, the minimum pension guarantee, and the occupational schemes.
... Exibir mais + The paper also includes information on the December 2017 broad six-party political agreement on forthcoming legislation. It concludes with recommendations for additional improvements in the overall old-age pension system, based on the analysis of financial stability, adequacy, and differences in outcomes, and the interaction of the NDC scheme with the guarantee benefits and the occupational schemes.
Exibir menos -

Latvia introduced a nonfinancial defined contribution (NDC) scheme in 1996 as it transitioned to a market economy. Despite a 20 percent decline in the working-age population from 1994–2016, the ratio of contributors to old-age pensioners rose from 1.6 to 2.1 given a steady increase in formal labor force participation and 5-6 percent real per capita wage growth.
... Exibir mais + Projections show that long-term financial balance will be maintained through 2070, despite the threat of a projected 50 percent decline in the working-age population. Budgeted reserves will cushion the continued transition into a two-pillar public pension scheme. Latvia’s most important long-term policy challenge is to create the domestic investments and economic growth to reward younger workers for remaining in the country.
Exibir menos -

About one-half of Africa’s population will remain below age 30 well past 2050,with relatively few aged 60 and older. Using Tanzania’s projected demographics and presenteconomic point of departure, this paper demonstrates how the implicit “double”demographic dividend can be harnessed to create inclusive growth.
... Exibir mais + A Swedish-style non financial defined contribution (NDC) system is launched where the government can borrow funds from the future through NDC “consol” bonds to transform individual savings into human and physical capital to promote inclusive economic growth. The consol bonds constitute a reserve to cover pensions of the retiring “demographic bubble” in the future as the dependency ratio gradually glides into demographic equilibrium. Minimum transfers tothe current elderly are also introduced with the phase-in.
Exibir menos -

The year 2018 was a challenging year for Sri Lanka. Growth remained subdued, although there have been signs of a recovery in the first half from the impact of a series of natural calamities in the preceding two years.
... Exibir mais + Inflation stabilized in the mid to low-single digit levels thanks to low food inflation, which compensated for currency depreciation and the fuel price pass-through. However, the deficit in the external current account widened amid a higher import bill, despite improved export performance. While the primary balance in fiscal accounts remained in surplus, the overall fiscal balance was high due to high interest expenditures, which continue to mask the overall fiscal improvement. The exchange rate came under heavy depreciation pressure, reflecting the effect of global financial market conditions, compounded by adverse domestic political developments. International reserves declined from their peak level in April, weakening the ability to deal with economic shocks amid large short-term external liabilities.
Exibir menos -

The objective of this demographic dividend operational tool for pre-dividend countries is to help teams from government, the World Bank, and other partners have productive policy dialogues to harness a demographic dividend through a systematic diagnosis by: using solid data and information to identify the specific constraints in a particular country; and mapping specific constraints to evidence-based policy and programmatic options.
... Exibir mais + The demographic dividend is the accelerated economic growth that can result from a rapid decline in a country’s fertility and the subsequent change in the population age structure. Demographic dividend corresponds to a 20-30-year period in a country’s demographic transition when the proportion of working age population compared to the number of dependents increases rapidly. The first demographic dividend - the extra boost to the economy based on a productive labor supply - focuses on the labor supply effects of changes in age structure. Further in the demographic transition, a possible second dividend results from the savings and investments of the bulge cohort as it matures and saves for retirement.The objective of this demographic dividend operational tool for pre-dividend countries is to help teams from government, the World Bank, and other partners have productive policy dialogues to harness a demographic dividend through a systematic diagnosis by: using solid data and information to identify the specific constraints in a particular country; and mapping specific constraints to evidence-based policy and programmatic options. The demographic dividend is the accelerated economic growth that can result from a rapid decline in a country’s fertility and the subsequent change in the population age structure. Demographic dividend corresponds to a 20-30-year period in a country’s demographic transition when the proportion of working age population compared to the number of dependents increases rapidly. The first demographic dividend - the extra boost to the economy based on a productive labor supply - focuses on the labor supply effects of changes in age structure. Further in the demographic transition, a possible second dividend results from the savings and investments of the bulge cohort as it matures and saves for retirement.
Exibir menos -